Commodities

Banks lead FTSE 100 higher; airlines hit by Lufthansa warning

Credit: REUTERS/TOBY MELVILLE

London's main stock index inched higher on Monday in line with marginal gains across Europe, as rises in banking shares outweighed the impact of a profit warning from Germany's Lufthansa on airlines.

For a live blog on European stocks, type LIVE/ in an Eikon news window

FTSE 100 up 0.1%, FTSE 250 up 0.2%

Banks top boost to main index

Lufthansa's profit alert hurts airlines

Babcock rises after confirming takeover bid

June 17 (Reuters) - London's main stock index inched higher on Monday in line with marginal gains across Europe, as rises in banking shares outweighed the impact of a profit warning from Germany's Lufthansa on airlines.

The FTSE 100 index .FTSE was up 0.1% by 0721 GMT, while the FTSE 250 midcap index .FTMC gained 0.2%.

With all eyes on Wednesday's U.S. Federal Reserve policy decision, the banking index .FTNMX8350 broke a four-day losing streak, led by Asia-exposed banks including HSBC HSBA.L and Standard Chartered after Hong Kong's leader backed down over an extradition bill that has sparked mass protests.

British Airways owner IAG ICAG.L and easyJet EZJ.L both gave up around 3% on the main bourse after Lufthansa LHAG.DE cut its 2019 profit outlook due to competition from low-cost rivals in Europe.

Mid-cap component Wizz Air WIZZ.L also dropped 4.4%.

Engineering services group Babcock BAB.L added 3.5% after the company confirmed a media report that it had received and rejected a highly preliminary takeover bid from rival Serco SRP.L earlier this year.

(Reporting by Muvija M in Bengaluru; editing by Patrick Graham)

((Muvija.M@thomsonreuters.com; within U.S. +1 646 223 8780, outside U.S. +91 80 6749 3638; Reuters Messaging: muvija.m.thomsonreuters.com@reuters.net))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Latest Markets Videos

    Reuters

    Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at Reuters.com and via Reuters TV.

    Learn More